WASHINGTON/CHICAGO (Reuters) – When the largest U.S. union for public sector employees elect its first new president in a generation next week it will be a watershed moment. The new chief will be running an organization whose members are fighting almost unprecedented cuts in jobs, benefits, bargaining rights – and increasingly angry taxpayers who question the size of their pension and healthcare benefits.

With many U.S. states, cities and counties struggling to balance their budgets and facing big pension and health care funding deficits, employee costs are the obvious target. Underlining its problems, the labor movement was defeated in a recall election in the state of Wisconsin earlier this month when voters sided with Republican Governor Scott Walker, who had taken bold moves to limit union collective bargaining powers.

(Reuters) – Jobless rates in 49 out of the 50 U.S. states dropped in May from a year earlier, the Labor Department said on Friday, raising the stakes in a presidential contest where job creation is the top issue.

Only New York’s rate rose from May 2011, to 8.6 percent. Compared with April, jobless rates were higher in 18 states, lower in 14 states and the District of Columbia, and unchanged in 18 states.

(Reuters) – U.S. states are remaining tight-fisted with spending even though their revenues are expected to top the levels reached before the recession, unnerved by the clouds over the U.S. and global economies.

For the upcoming 2013 fiscal year, total U.S. state revenues will increase by $27.4 billion, or 4.1 percent, to reach $690.3 billion. General fund spending, however, will rise by only $14.6 billion, or 2.2 percent, according to a survey of governors’ budgets released on Tuesday.

(Reuters) – States are remaining tight-fisted over spending even as their revenues are expected to top the levels seen before the height of the recession, unnerved by the clouds over the U.S. and global economies.

For the upcoming 2013 fiscal year, total U.S. state revenues will increase by $27.4 billion, or 4.1 percent, to reach $690.3 billion. General fund spending, however, will rise by only $14.6 billion, or 2.2 percent, according to a survey of governors’ budgets released on Tuesday.

June 1 (Reuters) – The board that writes the rules for the
$3.7 trillion municipal bond market is trying to give all
investors equal access to trade information.

The Municipal Securities Rulemaking Board on Friday said it
was accepting comments through July 2 on changes in posting the
exact par amounts in trades with par value equal to more than $1
million. The change would eliminate a five-day window when those
large trades are posted simply as “1MM+” on the MSRB’s web site,
EMMA.

SAN FRANCISCO/WASHINGTON (Reuters) – Public employees in San Jose, California’s third-largest city, are gearing up for a marathon court battle if local voters approve a measure in June to overhaul the city’s pension system.

“It’s just a straight-up war with us,” said Jim Unland, board president of the San Jose Police Officers’ Association, the union representing the city’s police force. ” Once the thing passes, we’ll be in court for years.”